How EPF can help you buy your Dream Home – 5 things you should know

January 30, 2018 / 0 Comments / By Admin

Buying a Home is once in a lifetime decision, and is probably the biggest investment for any of us. Various new policies have been introduced to assist home buyers. However, one requires in depth financial planning to ensure the right funding for their home purchase.

One the latest schemes is the EPF housing scheme that allows EPFO subscribers to use 90% of their saving in EPF for EMI payments or for financing their down payment. The new scheme has raised a lot of questions in the mind of home buyers.

Let us help you with solutions to some of the most common queries on EPFO housing scheme:

1. Are there any benefits of subscribing to the EPFO?
Yes. It is additional source for helping EPFO subscribers to fund their new home. You can not only reduce your loan amount but also get your interest on home loans reduced.

2. Am I eligible?
To withdraw EPF for purchasing a home, you must be a subscriber of the EPFO scheme for 3 consecutive years.

3. What is the permissible limit of withdrawal?
You can withdraw a maximum of 90% of your accumulated EPF for purchasing a home.

4. How is the disbursement done?
The payment will be done directly to the banks or the Housing Society that you have mentioned, and not to your account.

5. What if I leave my job?
The amount in your EPF account is
In case you resign from your job, the amount available in your EPF account is depleted. EPFO is not liable in this case.